Here’s Why PancakeSwap Price Is Pumping and Whether CAKE Is a Good Buy Now

Just as we thought BNX is the only crypto pumping today, CAKE joined the show with a 45% pump. PancakeSwap's token is now trading above $2.60 for the first time since mid-February.

Just as we thought BNX is the only crypto pumping today, another token joined the show with a 45% price surge.

Binance Smart Chain (BSC) is heating up today. By March 17, 2025, at 7:38 AM ET, the chain recorded $1.712 billion in trading volume, putting it ahead of all competitors. Solana follows with $1.098 billion, while Ethereum sits in third place with $1.022 billion.

Other chains are also active but with lower volumes. Arbitrum processed $348.92 million, Base handled $248.06 million, and Canto reached $210.12 million.

UPDATE: Binance Smart Chain's DEX volume surged to $1.637B in the last 24 hours, surpassing Solana. BSC has held the number one spot for three consecutive days.

What’s impressive is that BSC has been the top chain for DEX volume for three days straight. This showcases the strength of Binance Smart Chain in the DeFi market.

Among the DEXs on BSC, PancakeSwap is currently the biggest player. The exchange recorded $1.639 billion in trading volume today, making it the largest exchange on the Binance Smart Chain.

This massive trading activity helped push the price of CAKE up by 45%. As more people use PancakeSwap to trade, more people buy CAKE tokens, driving the price higher.

Looking at the daily chart of CAKE, several indicators suggest caution. The Relative Strength Index (RSI) is at 92. This is very high – anything above 70 typically means a coin is overbought. At 92, CAKE has likely climbed too quickly and may need to cool down soon.

The Ultimate Oscillator reads 80.167. This indicator looks at price action across multiple timeframes. Readings above 70 usually mean the price has gone up too quickly. At over 80, CAKE appears overextended.

The Commodity Channel Index (CCI) is at 195.9052. When this number goes above 100, it often means a coin is overbought. At nearly 200, CAKE has moved far above its average trend.

Overall, these numbers suggest that CAKE is overbought on all fronts. While the increased trading on BSC and PancakeSwap is good for CAKE long-term, the short-term outlook suggests waiting. It might be better to wait for the price to drop before buying.

It seems like traders are buying on any dip, evidenced by the Ultimate Oscillator remaining very high despite a small price setback earlier today. If traders continue to buy on any pullback, it could lead to a scenario where CAKE "touches" the $3 mark before facing a correction.

If the buying pressure lessens, leading to a deeper pullback, it might be a good opportunity to accumulate CAKE at lower levels.